Dollar General Corporation stock research
FY2024 Q2
Dollar General (DG) Gross Margin — Quarter Ended Aug 2, 2024
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year, but gross margin decreased because cost of revenue grew more than revenue. The gross margin weakened to the lowest level among the three periods.
Gross margin takeaway
Quarter ended Aug 2, 2024 · FY2024 Q2
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year, but gross margin decreased because cost of revenue grew more than revenue. The gross margin weakened to the lowest level among the three periods.
- The strongest observable driver is the relative increase in cost of revenue, which grew faster than revenue, leading to a lower gross margin.
- Compared to the immediately preceding quarter, gross margin was slightly lower. Compared to the same quarter one year ago, gross margin was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
30.0%
Gross profit
$3.1B
Revenue
$10.2B
Cost of revenue
$7.2B
Quarter-over-quarter change
-0.2 pts
Year-over-year change
-1.1 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Nov 3, 2023 | $9.7B | $2.8B | $6.9B | 29.0% |
| Feb 2, 2024 | $9.9B | $2.9B | $7.0B | 29.5% |
| May 3, 2024 | $9.9B | $3.0B | $6.9B | 30.2% |
| Aug 2, 2024 | $10.2B | $3.1B | $7.2B | 30.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
May 3, 2024
-0.2 pts
Year-over-year change
Aug 4, 2023
-1.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver is the relative increase in cost of revenue, which grew faster than revenue, leading to a lower gross margin.
Compared to the immediately preceding quarter, gross margin was slightly lower. Compared to the same quarter one year ago, gross margin was lower.
Monitor the gross margin trend, as it declined from both prior periods.